The flow of funds increased in startups slightly in September to $1.54 billion from august month’s $1.25 billion as per data sourced from Tracxn. But this marginal improvement should not be seen as a sustainable trend, say investors.
Most of the investors are funding late-stage projects in September, which were the most affected in the previous month. These firms raised around $871 million during the month of September against $621 million in August.
“The data of September month does not establish that things will move in the positive direction, as there’s can be more volatility in the coming months. The trend for another quarter should be watched for further increase in funding. If we see improvement, we can say the positive trend is sustainable,” said by Ashish Kumar, co-founder and general partner of Fundamentum Partnership.
This month deal count fell to 128 in comparison to last month’s 151. There were over 200 funding rounds every month till May end since the start of the current calendar year.
